Copyright © 2006 VoEX, Inc. All Rights Reserved1

2 What is SIP? What is SIP Trunking?  Sessions Initiation Protocol  Signaling for multimedia sessions over the Internet  Setup  Modify  Tear down

Copyright © 2006 VoEX, Inc. All Rights Reserved3  SIP is an application-layer protocol  SIP trunks can be connected via any Layer 2 protocol What is SIP Trunking? IP TCPUDP H.323SIPRTPDNSDHCP ATMV.90EthernetMPLS AALxPPP SDP SignalingMediaUtility Media Coding Application Layer Transport Layer Internet Layer Physical / Link Layer From: Understanding the Sessions Initiation Protocol, Alan B. Johnson

Copyright © 2006 VoEX, Inc. All Rights Reserved4 What is SIP Trunking? IP TCPUDP H.323SIPRTPDNSDHCP ATMV.90EthernetMPLS AALxPPP SDP SignalingMediaUtility Media Coding Application Layer Transport Layer Internet Layer Physical / Link Layer SIP = Great Equalizer = Open market = Choice!

Copyright © 2006 VoEX, Inc. All Rights Reserved5  Brief History of American Layer 1/2 Communications  1880 – 1984: American Bell / AT&T  Essentially a monopoly  1948: Cable TV  1969: ARPANET  Precursor to the Internet – see Al Gore  1977: MCI allowed to compete (common carrier services)  1977: First cell phone test offering  1982 – 1984: Breakup of AT&T  7 Regional Operating Companies  Local service monopoly  1994: U.S. Government releases control of the Internet What is SIP Trunking?

Copyright © 2006 VoEX, Inc. All Rights Reserved6  VoIP trunks from service providers use SIP for call control and routing  Enables IP/SIP connection to carrier IP networks.  SIP sets up and tears down calls  call is routed via the carrier’s IP network  Calls are handed off to a PSTN gateway for the last mile if they are bound for E.164 numbers.  On-net calls remain native, “pure” IP What is SIP Trunking?

Copyright © 2006 VoEX, Inc. All Rights Reserved7 What is SIP Trunking? Service Provider Broadband IP network Enterprise SIP Trunk Other IP network SIP + ENUM PSTN TDM

Copyright © 2006 VoEX, Inc. All Rights Reserved8  Global Managed Service Provider  Pure VoIP peering Infrastructure  Carrier-grade Super Registry  ENUM and PSTN phone numbers  Connecting any-to-any  TDM, IP and Hybrid carriers. About VoEX

Copyright © 2006 VoEX, Inc. All Rights Reserved9 Blue Chip Customers

Copyright © 2006 VoEX, Inc. All Rights Reserved10 Why SIP Trunking?  Save Money Today  Take Advantage of SIP-enabled Applications  Ready for Prime Time

Copyright © 2006 VoEX, Inc. All Rights Reserved11  Save Money Today  Lower toll charges  One-time charge for on-net termination  Calls routed to the closest gateway for PSTN termination – may only incur local termination rates  Highly competitive rates for off-net domestic and international PSTN termination  One unified network for voice and data circuits  Reduced trunking costs  Reduced hardware costs  Efficient personnel usage  Other Cost-reduction Methods Why SIP Trunking?

Copyright © 2006 VoEX, Inc. All Rights Reserved12  SIP-enabled Applications  Voice, Video, Multimedia  Desktop integration (Outlook)  Presence  Follow-me services  “Dial Out”  “Peered” across network Why SIP Trunking?

Copyright © 2006 VoEX, Inc. All Rights Reserved13  Global Managed Service Provider  Pure VoIP peering Infrastructure  Carrier-grade Super Registry  ENUM and PSTN phone numbers  Connecting any-to-any  TDM, IP and Hybrid carriers. About VoEX

Copyright © 2006 VoEX, Inc. All Rights Reserved14 SIP Trunking ROI Analysis  Investment Requirements  IP PBX  SIP Firewall  SIP Gateway

Copyright © 2006 VoEX, Inc. All Rights Reserved15  IP PBX ROI  “Internal” ROI  Internal Wiring  Moves, Adds, Changes  Administration  Applications  “External” ROI  Trunking Costs TDM: Trunk vs. Extensions IP: Requisite bandwidth  Termination Costs TDM: Local, long-haul contracts IP: On-net transaction fee, On-net termination revenue, highly- competitive PSNT termination, often based on local termination rates SIP ROI Analysis

Copyright © 2006 VoEX, Inc. All Rights Reserved16  SIP Gateway (TDM Origination)  “External” ROI  Trunking Costs TDM: Trunk vs. Extensions IP: Requisite bandwidth  Termination Costs TDM: Local, long-haul contracts IP: On-net transaction fee, On-net termination revenue, highly- competitive PSNT termination, often based on local termination rates Why SIP Trunking?

Copyright © 2006 VoEX, Inc. All Rights Reserved17 SIP Trunking ROI – Based on Real Customers

Copyright © 2006 VoEX, Inc. All Rights Reserved18  Actual customer savings:  15% - 50%  Breakeven: 0 – 90 days  ROI (cost-savings/cost)  Depends on timeframe selected for savings  12% - 53%, first year SIP Trunking ROI

Copyright © 2006 VoEX, Inc. All Rights Reserved19  Global Managed Service Provider  Pure VoIP Peering Infrastructure  Carrier-grade Super Registry  ENUM and PSTN phone numbers  Connecting any-to-any  TDM, IP and Hybrid carriers. About VoEX

Copyright © 2006 VoEX, Inc. All Rights Reserved20 Thank You Bill Cartmill Director Business Development About VoEX